Company’s losses were increased by $38 million in writeoffs stemming from depreciation of programming assets and its financially troubled Danish subsidiary Scanbox Entertainment.

While revenues were up some $41 million over last year to $74 million, company was forced to lower its revenue forecast by more than $45 million to $89 million due to restructuring and the dire licensing market.

VCL shares on Friday dropped 20% to 80¢; company is listed on the German stock exchange’s Smax for small companies.

Meanwhile, German media group Fame Film & Music Entertainment also issued a profit warning, halving its revenue forecast for the year.

Fame is now expecting revenues of $10.5 million, down from $18 million, and instead of profits of more than $500,000, company is reckoning with losses of between $1.4 million and $1.8 million. Company blamed “continually decreasing demand for German film productions.”

Fame execs said they planned to restructure and would release details of the measures in coming weeks.

Despite its worsening financial situation, company recently was able to postpone a move by the German stock exchange to delist it from the Neuer Markt.